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The Press Is Not What
It Used to Be
By Anna Dolgov
Special to The Moscow Times
11-13-3


While the government has taken over the main television networks in recent years, major newspapers have remained in private hands, but despite their ostensible independence, they may be confined by their own set of restrictions in criticizing the state.
 
The media industry has changed shape drastically since the mid-1990s, when squabbles between powerful magnates who controlled television stations and newspapers spilled out into broadcasts and onto the printed page.
 
When state assets were being divided up in privatization sales during the 1990s, business tycoons used the media to earn favors from government functionaries through properly aimed mudslinging or praise.
 
"Investors paid money without counting on the publication's profitability, but they got better access to resources that were being privatized," said Ivan Zasursky, head of a research department at the Moscow State University's Journalism School and deputy chief of the Internet company Rambler. "Now this process is over."
 
The end of privatization handouts and oligarch wars has brought about a new approach to running daily newspapers.
 
"It is getting increasingly business-like," said Anna Kachkayeva, a media analyst with Washington-funded Radio Liberty. "The success of the editorial policy is directly linked to an increase in circulation."
 
The less tolerant political climate under President Vladimir Putin has also caused some more ominous changes.
 
Government actions against a free press have bred self-censorship among some journalists. And since most newspapers are owned by companies that have business interests in other spheres, they may be influenced by their owners' wish to keep friendly relations with the state.
 
"The newspapers have become hostages of the relations between their owners and the authorities," Zasursky said.
 
One of the reasons behind the print market's transition to a more capitalist approach is newspapers' ineffectiveness, relative to television, as a political instrument -- as media magnates, stripped of their television assets, seemed quick to realize.
 
TV broadcasts remain a political instrument -- now promoting the views of Putin's administration -- while newspaper publishing is evolving into something more like a business venture.
 
"There is no other way," said Yevgeny Abov, deputy chief of the Prof-Media holding, through which metals magnate Vladimir Potanin owns the Izvestia and Komsomolskaya Pravda dailies, and which also holds a 35 percent stake in Independent Media, the parent company of The Moscow Times.
 
"Either they turn into a media business mainly guided by the criteria of reader audience, share of the market and popularity, or they lose their audiences altogether. They become fully dependent on non-media sources of financing, and those sources sooner or later run out."
 
The laws of the market have brought considerable diversity to newspaper publishing. While most TV broadcasts have been reduced to indistinguishable, and undistinguished, pro-Kremlin reports, newspapers seem to be tailoring their coverage to their specific audiences.
 
Kommersant, for instance, is written for educated professionals with an interest in finance, while Komsomolskaya Pravda caters to a wide group of average readers with an interest in flamboyant entertainment stories, consumer tips and just a bit of politics.
 
Some newspapers report making money -- no small feat in a business where breaking even is often considered an achievement.
 
Komsomolskaya Pravda is a significant money-earner, Abov said, refusing to disclose specific figures. Izvestia reported pretax profits of about 28.4 million rubles (nearly $1 million) in 2002.
 
Kommersant expects to make several million dollars in pretax profits this year, said editor Andrei Vasilyev, who also heads the Kommersant publishing house.
 
But even the most successful newspapers cannot match television's popularity. Newspapers have lost a lot of readers since the Soviet era, and polling data show the figures are still going down.
 
The house-to-house deliveries of Pravda in the Soviet days ensured wide circulation, and the scarcity of other sources of information led many Russians to perfect the skill of reading between the lines.
 
Now newspapers have to compete not only with a greater number of television stations, but also with electronic media and an array of general interest magazines.
 
Newspapers also seem to be paying for their sins of the 1990s, when unabashed promotion of their owners' views appeared to have undermined their credibility.
 
http://www.themoscowtimes.com/stories/2003/11/14/002.html
 

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